Imp No. : 44/2003
Exp No. : 44/2003

PUBLIC NOTICE NO: 85/2003 Date : 18.08.03
Sub : Conversion of Free Shipping Bills into Advance Licence / DEPB / DFRC / Drawback Shipping Bills and Conversion of Shipping Bills from one Export Promotion Scheme to another - reg.

A copy of Ministry of Finance, Department of Revenue, New Delhi letter F.No. 609/176/2002 - DBK ( Circular No. 40/2003 - Cus.) dated 12.05.2003 regarding Conversion of Free Shipping Bills into Advance Licence / DEPB / Drawback Shipping Bills and Conversion of Shipping Bills from one Export Promotion Scheme to another is annexed for the information of the Trade and Industry in general and of exporters in particular.

Sd/-
(SHISHIR KUMAR)
COMMISSIONER OF CUSTOMS (EP)
MUMBAI.

F.No. S/16-Misc-155/2003 GR VII

CIRCULAR NO. 40/2003-CUS. Date 12th May, 2003
(Amendment to Circular No. 6/03-Cus. dated 28.01.2003)

Sub: Conversion of free shipping bills into Advance Licence / DEPB / DFRC / Drawback shipping bills and conversion of Shipping Bills from one export promotion scheme to another - reg.

Kind attention is invited to DOR Circular No. 6/2003-Cus. Dated 28.01.2003 in terms of which conversion of free Shipping Bills into Advance Licence / DEPB / DFRC / Drawback Shipping Bills and conversion of Shipping Bills from one Export Promotion Scheme to another is permitted in terms of Para 4 of the said Circular. In terms of Para 4 (i) conversion of free Shipping Bill by Customs. Similarly, in terms of Para 4 (ii) conversion of Shipping Bill from one export promotion scheme to another was permitted provided benefit of that scheme was denied to him by DGFT / Customs. Conversion in such cases was to be permitted by Commissioner on case to case basis subject to the conditions specified in Para 4 (a), (b) and (c) of the said Circular.

2. Trade has been representing that in cases where the exporter was forced to file free Shipping Bill by Customs at the time of export of goods, for the purpose of seeking conversion at a later date it becomes difficult for them to prove this fact. This is because generally no written denial is issued by Customs.

3. The issue has been re-examined in consultation with DGFT /MOC and it is clarified that conversion of free shipping bills into Advance Licence / DEPB / DFRC / Drawback shipping bills and conversion of shipping bills from one export promotion scheme to another (where the benefit of that Scheme has been refused by Customs / DGFT - vide para 4 (ii) of DOR Circular No. 6/2003 - Cus.) may be permitted on merits by the Commissioner on case to case basis subject to the conditions specified in Para 4 (a), (b) and (c) of DOR Circular No. 6/2003-Cus. Dated 28.01.2003 and also subject to the following condition :-

" the exporter has not availed benefit of any export promotion scheme and no fraud / or suspected manipulation and no investigations have been initiated against the party in respect of such exports under these Shipping Bills".

4. Suitable Public Notice for the guidance of trade and Standing Order for the guidance of field officers may be issued.

5. Receipt of this Circular may kindly be acknowledged.

Yours faithfully,

Sd/-
(R.K. TALAJIA)
OFFICER ON SPECIAL DUTY (DBK)

F.NO. 609/176/2002- DBK

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